MSPs believe small firms will be the key job creators in Scotland's economic recovery, according to a survey.

The study, commissioned by the Federation of Small Businesses in Scotland and conducted by ComRes, found 80 per cent of the politicians asked agreed with the statement: “Small businesses will create most of the extra jobs that the Scottish economy needs to recover fully from the recession.”

The FSB suggests small businesses in Scotland have created more than 67,000 jobs in the last decade while larger firms have shed almost 40,000 jobs during the same period.

Andy Willox, the FSB in Scotland's policy convenor, said these findings underline the need for enterprise policy to focus on helping small businesses employ more staff where the opportunities exist.

He said: “Our MSPs obviously appreciate that it is Scotland’s army of small firms which can deliver the new employment that the country desperately needs. “They have seen big business downsizing already and know that the public sector is getting ready to do so.

“Small business, however, has a proven track record of job creation and we stand ready to build on this and lead Scotland back to growth.

“It is therefore vital that we have the tools to get on with this job and I would urge our elected representatives to bear this in mind when decisions on enterprise spending come before them.

“Like everyone who has been in business over the past few years, I know only too well that tough choices will need to be made.

“But squeezing business support funding in favour of more emotive causes could cost local economies more than it will save.”